Entry Rules:

Round your answer to the nearest whole number.

Examples:

If your answer is $$24,500\mathrm{.}47,$ enter $24500$

If your answer is $$24,500\mathrm{.}51,$ enter $24501$

If your answer is $$24,500\mathrm{.}00,$ enter $24500$

Never enter $ or $,$ when inputting numerical answers

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Question:

Walker Company provided the following sales information for the month of October:

September

Actual October

Budget

Cash sales $ $15,600\mathrm{.}00$ $ $14,400\mathrm{.}00$

Credit sales $88,400\mathrm{.}0081,600\mathrm{.}00$

Total sales $$104,000\mathrm{.}00$ $ $96,000\mathrm{.}00$

For credit sales, the collection pattern is as follows:

Month of sales $65\%$

Month following sales $29\%$

Based on past experience, the company estimates the remaining credit sales are uncollectible.

Inventory purchases average $85\%$ of current month's total sales.

Payments for inventory are made as follows:

Month of purchase $50\%$

Month following purchase $50\%$

Other expenses are as follows:

Salaries and wages per month $ $6,786\mathrm{.}00$

Rent per month $2,340\mathrm{.}00$

Utilities per month $3,380\mathrm{.}00$

Insurance per quarter to be paid in October $585\mathrm{.}00$

Depreciation expenses per month $975\mathrm{.}00$

October $1$ cash balance is $$6,528\mathrm{.}00.$

Required:

Prepare a cash budget for the month of October and use it to answer the following questions.

Cash sales and collections on account for the month are $$\_\_\_\_\_\_\_\_\_\_\_\_\_.$

Payments for inventory for the month are $$\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.$

Payments for all other expenses for the month are $$\_\_\_\_\_\_\_\_\_\_\_\_\_\_.$

The ending cash balance at the end of the month is $$\_\_\_\_\_\_\_\_\_\_\_\_.$